Rice coalition eyes Cuba
Posted: Wednesday, January
14, 2015 12:00 am
For Tri-County Newspapers
The USA Rice Federation has joined
with more than 25 prominent U.S. food and agriculture associations and
companies to form a coalition that seeks to advance trade relations between the
United States and Cuba.The U.S. Agriculture Coalition for Cuba formally
launched at an event in Washington D.C. on Thursday that was attended by
Secretary of Agriculture Tom Vilsack, a bipartisan group of members of
Congress, and Missouri Gov. Jay Nixon.The purpose of the USACC is to
re-establish Cuba as a market for U.S. food and agriculture exports and address
liberalizing trade between the United States and Cuba.The coalition will work
to end the embargo and allow for open trade and investment.
"We know the Cuban market for
rice is not theoretical. It is real, it is large, and it is compelling,"
said Betsy Ward, president and CEO of USA Rice, in a statement. "With rice
imports valued at more than $300 million, Cuba is the second largest importer
of rice in the Americas. And there was a time when Cuba was our number one export
market — we look forward to a return to those days."The U.S. rice industry
has been advocating for open trade and travel with Cuba since the mid-1990s and
was the first U.S. commodity back in Cuba in 2001, exhibiting at the Havana
Trade Fair, which led to the first U.S. rice sale to Cuba in more than 40
years.Throughout the last decade, USA Rice has sponsored numerous trade
missions, led and participated in many forums, here and in Cuba, and
participated in eight Havana International Fairs.Consequently, by 2004, U.S.
rice sales to Cuba were valued at $64 million.
However, U.S. government policy
changes reversed that trend, and by 2009, sales fell to zero, where they
remain.
"We applaud the Obama
Administration for their recent actions, and ask our leaders in Congress to
normalize trade with this nation that we believe will once again become a major
market for U.S. rice," Ward said. "Open trade with Cuba would be an
enormous boon for U.S. rice farmers, and we look forward to working with the Cuban
rice industry so together we may supply the Cuban people with high-quality,
delicious rice."
Japan skips food wheat purchase tender this week
Tue Jul 1, 2014 8:11am
GMT
TOKYO, July 1 (Reuters) - Japan's Ministry of Agriculture
skipped buying food quality wheat via a regular tender this week. Since July
has 5 weeks, the ministry decided to skip a tender this week and planned to
start a regular tender from the following week, an official at the bureau said
on Tuesday.Japan, the world's sixth-biggest wheat importer, keeps a tight grip
on imports of the country's second most important staple after rice and buys
the majority of the grain for milling via tenders typically issued three times
a month. (Reporting by Michio Kohno; Editing by Anupama Dwivedi)
Thai govt aims to sell 17m tonnes of
stockpiled rice over 2 years
BANGKOK, Jan 13 (Reuters): Thailand's government plans to sell
around 17 million tonnes of rice over the next two years from stockpiles built
up under the previous administration's failed buying programme, the commerce
ministry said on Tuesday, announcing a new series of tenders.
Thailand was the world's top rice exporter for decades until its
grain became uncompetitive under the buying scheme brought in by ousted former
Prime Minister Yingluck Shinawatra after she won election in 2011.The scheme
paid farmers well above market rates for their crops and the Finance Ministry,
in its most recent estimate, said it caused losses of more than $15 billion to
the state, although that would be reduced if grain is sold.
"We have set up a plan to sell 17.8 million tonnes of rice
within a two-year timeframe," Chutima Bunyapraphasara, permanent secretary
at the ministry, told reporters.The aim is to sell 10 million tonnes this year
and 7 million in 2016, she added.Terms of reference for a tender for 1 million
tonnes would be announced on Jan. 20, she said, adding that the ministry would
hold two or three tenders from January to March.The authorities have held four,
smaller tenders since the military seized power last May and have sold 681,740
tonnes for around 6.36 billion baht ($194 million), Chutima said.
Government-to-government deals have been done for larger amounts,
of which 570,000 tonnes had so far been shipped or was about to be shipped this
month, she added.An audit conducted after the military seized power in May
suggested that only 10 per cent of the grain in the stockpiles was of standard
export quality. The buying scheme effectively lapsed in early 2014 when
political turmoil meant Yingluck's government was unable to pay farmers for their
grain.Thailand's parliament began an impeachment hearing against Yingluck on
Friday over her role in the subsidy programme. Critics denounced it as a
wasteful handout to supporters of Yingluck and her brother Thaksin Shinawatra,
another former premier ousted by the military.
The country exported around 10.8 million tonnes of rice in 2014, a
record high, according to the commerce ministry.Its previous record of 10.4
million tonnes was reported in 2011, after which India took over as top exporter.Thailand
is experiencing drought in eight provinces, which will cut its 2015 off-season
crop output by more than 30 per cent, according to the latest report from the
Office of Agricultural Economics.The smaller harvest is unlikely to have a big impact
on global prices, which are still under pressure from Thailand's stockpiles and
bumper output in rival exporters India and Vietnam.
Officials prepare for rice
exports to China
Published on Wednesday, 14 January 2015 16:15
To facilitate rice exports to
China, the China Certification & Inspection Group (CCIC) will open an
office in Yangon.
The Myanmar Rice Federation (MRF) will send a list of 10 rice
exporting companies and other
documents to China. The CCIC will hold talks between the Myanmar government, COFCO Group and the companies that signed the memorandum of understand with the MRF over rice trading."Tasks for starting rice exports are currently on our plate. A meeting will be held this month.
documents to China. The CCIC will hold talks between the Myanmar government, COFCO Group and the companies that signed the memorandum of understand with the MRF over rice trading."Tasks for starting rice exports are currently on our plate. A meeting will be held this month.
Wewill assist in
opening the CCIC office, too," said Ye Min Aung, general secretary of
MRF.At the invitation of China early this month, delegations from MRF, the Rice
Millers' Association, Myanmar
Rice & Paddy Traders Association, the Agriculture and Irrigation Ministry and
the Commerce Ministry talked with
their Chinese counterparts about rice trading agreements proposed in 2014 and finalised the deal.Negotiations
between the Myanmar Agriculture and Irrigation Ministry and China's
Administration of Quality Supervision, Inspection and Quarantine have also
taken place.Myanmar is thriving to export its world-class quality rice to
China.
Current exports are of mediocre quality. World Bank studies
claimed the price of rice in Myanmar is the most unstable among Southeast Asian
rice exporting nations.The studies explained the 40-per cent hike in Myanmar
rice prices as the result of weak market structures, poor accessibility of
information, limited product variety and costly storage charges.In the 2013-14
fiscal year, Myanmar’s exports of 1.1 million tonnes of rice earned US$400
million; in 2014-15, Myanmar is expected to reap $500 million from 1.5 million
tonnes in rice exports.
Iraq submits a tender
for the purchase of 30 thousand tons of rice
Photo Credit:Reuters/Ajay Verma
The Iraqi Ministry of Trade announced on Tuesday launching a
tender to process the ministry with an amount of 30 thousand tons of rice to
cover the requirements of the ration card, while economists justified it and
said that production would not fill the growing need for several conditions.
Iraq is one of the major importers of grain in
the region to cover the ration card program that has been applied since the
nineties of the last century.
The Ministry of Trade stipulated that the origins
must be from America, Uruguay, Argentina, Brazil, Vietnam and Thailand with the
specifications of " White Grain."The ministry said in a statement
reported for "Shafaq News" that " offers will be open up to
29/1/2015 but the presentations must be accompanied by an initial insurances by
a bank guarantee or a check certified for the General Company for Grain Trade
in the ministry.Analysts and economists believe
that Iraq's move towards the global market is to meet the needs of its
population of grain for many economic conditions.
The economist , Falah Hassan told "Shafaq
News" that "Iraq has a great potential in the production of
agricultural crops, but the conditions experienced in the country affected
local production significantly."He
explained that "local production in Iraq began to diminish year after a
year due to economic factors as well as political factors , although it has
recently improved, but of course still modest in spite of the many
possibilities that exist in Iraq."Hassan added, "there has
been a clear deficit in the coverage of such crops as wheat barley and rice, so
that Iraq covers domestic demand through imports .. For example, rice needs
large amounts of water while Iraq is going through a crisis in irrigation
projects and this is a big challenge due to lower levels of Tigris and
Euphrates rivers by the impact of upstream countries "Turkey and Syria.
© Shafaq News 2015
Nigeria: Govt
Alleges Sabotage of Rice Policy By Investors
By Femi Adekoya
FOREIGN investors who have exceeded their preferential allocation
quotas for imports thereby incurring N36.56 billion debts payable to the
nation's treasury are sabotaging the new rice policy, the Federal Government
said yesterday.According to the Minister of Agriculture and Rural Development,
Dr. Akinwunmi Adesina, the Federal Government may also wield its big stick on importers
who were re-bagging locally produced rice as imported one while receiving
waivers for such.Besides, the Federal Government noted that it had concluded
plans to establish and manage a National Domestic Rice Production Fund (NDRP
Fund) that would be used to support farmers and millers in expanding production
and milling operations in the relevant states of previously intended
investments by defecting investors.
The Fund is expected to be generated from recalled bonds from any
of the 26 investors who defaulted from their investment plans while enjoying
preferential allocation quotas under the Domestic Rice Production Performance
Bond amounting to $195 million or N35.3 billion.Already, the ministry, citing
data from Nigerian Customs, identified Popular Farms and Mills as well as other
importers as responsible for exceeding their import quotas under the new
policy.
Furthermore, the ministry identified three other companies
including Conti-Agro, Central Trading and Export and African firms as having
imported 98,285 metric tonnes of rice without approved quotas, thereby owing
the treasury N8.16 billion.A statement from the ministry stated that the
companies without waiting for determination of the supply gap by the
inter-ministerial committees or issuance of quotas had imported 634,270.16
metric tonnes of finished rice. This represents 56 per cent of the total
imported finished rice under the new policy as at December 3, 2014.
Adesina was quoted as saying: "Nigeria cannot lose any revenue
due to the economy. All companies who have imported rice above their allocated
quotas must pay fully the amounts due to the treasury. With the devaluation of
the Naira, all hands must be on deck to ensure that all leakages are blocked.
Nigeria is not for sale."I will not be intimated, bought or corrupted. I
will not sell my country to any foreign company. The President has given us a
clear matching order to make Nigeria self-sufficient in rice and we will fully
achieve this. All who owe the Federal Government must pay what they owe and
Nigeria must lose no single naira. No amount of malicious representation will
derail the new policy.
"According to the Customs, the importers agreed to pay any
duty and levy differential if their eventual quota allocation turned out to be
lower than what they have imported."As at December 3, 2014, Popular Farms
and Mills had exceeded their approved quota by 300,204.53 metric tonnes and
Olam by 110,163.63 metric tonnes, a combined total of 410,368.16 metric
tonnes."
According to the new rice policy, Popular Farms and Mills owes
N19.379 billion in unpaid levies while Olam's indebtedness is N9.02 billion.
Together, the two Asian companies owe the federal Government about N28.39
billion.
"Rather than pay the levies owed, the two firms wrote letters
to the Minister asking for a revision of their rice import quotas; Olam asked
for 400,000 metric tonnes rice import quota, to cover the quantities of rice
that they had gone ahead to import (or still desire to import) without any
approved quotas or Domestic Rice Production Plans (DRPP) as required, but a
mere agreement with Nigerian Customs that they would pay the duties due once
the quota allocations are out", the statement read in part.
The ministry expressed optimism of the national supply gap of
import grade rice declining from the present 1.5 million metric tonnes to one
million this year, with a further projected decline of 0.3 million MT in 2016
and zero in 2017 when the country is expected to become self-reliant in rice
production and when rice mills purchased by investors become operational.
The ministry explained that the new rice policy had stated that
importation of brown or polished rice should be limited to the national supply
gap for import-grade rice to be determined by an inter-ministerial committee
chaired by the Agriculture Ministry, with membership drawn from the Ministries
of Finance, Industry, Trade and Investment and the National Planning
Commission.
It added that rice import quotas were issued on a conditional basis
to guarantee that the DRPPs are met to achieve Federal Government's goal of
rice self-sufficiency."Specific qualifying criteria to receive the quotas
were stipulated and they include: applying companies must be a registered firm
in the country and a member of relevant trade association; only new investors
officially known to the Ministry via submission of a DRPP will be allocated a
quota; applying companies must have a minimum planned investment in rice
production and processing of $10 million.
"Basically, in order to qualify for a final quota allocation,
all qualifying companies had to deposit a Domestic Rice Production Performance
Bond ("the Bond") as a means of demonstrating a clear commitment to
domestic investments in rice production and processing. For each investor, the
Bond value will be equivalent to 30 per cent of the value of the quota
received. This Bond must be secured at a qualifying bank approved by the
Federal Ministry of Agriculture and Rural Development.
"Investors' rice investment plans will be strictly monitored against
key milestones. Failure to execute on these plans will lead to a 'call' on the
Bond by the Ministry."The goal is to turn importers into local producers
and that is being achieved. No one is hoodwinking anybody. A detailed
assessment of existing rice millers, importers and new rice investors has also
been undertaken", the ministry explained.
However, when The Guardian tried to reach some of the identified
investors who have overshot their quotas, they stated that the Nigerian Customs
was yet to communicate their financial obligation to them in terms of the
excess imports, adding that they continue to await Customs' response to them.
Major Grant Awarded to Rice
Industry, DU for Habitat Conservation Efforts
From left: LA rice farmer
John Owen,
USA Rice CEO
Betsy Ward, and
NRCS Chief Jason Weller
WASHINGTON, DC -- Today Secretary of Agriculture Tom Vilsack
announced approved grants from the first round of proposals to the new Regional
Conservation Partnership Program (RCPP). The USA Rice Federation, Ducks
Unlimited, Inc. (DU), and more than 40 collaborating partners are pleased that
the "Rice Stewardship Partnership - Sustaining the Future of Rice"
project was selected for support.
This project will help rice producers conserve natural resources
such as water, soil and waterfowl habitat, while having long-term positive
impacts on their bottom line.
The RCPP application process was very
competitive; less than half of all applications were awarded funding, and no
proposal was fully funded. However, the
USA Rice and DU national request was deemed to have significant merit, and the
Natural Resources Conservation Service (NRCS) - the agency responsible for
administering RCPP - awarded the partnership a grant of $10 million, one of the
largest awards given under the program.
"The Mississippi Alluvial Valley, Texas' and Louisiana's Gulf
Coast, and California's Central Valley are critical landscapes for waterfowl
and therefore ranked as some of DU's top priorities for habitat
conservation," said DU President and Arkansas rice producer George Dunklin.A
2014 study conducted by DU scientists for The Rice Foundation demonstrated that
rice agriculture provides 35 percent of the food resources available to
migrating and wintering dabbling ducks in the regions where rice is grown in
the United States.
"U.S. rice farms are valuable, not just for the nutritious
commodity they produce and their positive impact on the economy, but also as
important contributors to the entire ecosystem, and today's announcement from
NRCS and USDA recognizes that fact," said USA Rice Federation Chairman Dow
Brantley, an Arkansas rice farmer.
"Wildlife and waterfowl depend on our farms as much as any of us
do."
Across the board
Established in the 2014 Farm Bill, the RCPP competitively awards
funds to conservation projects designed by collaborating partners."The USA
Rice Federation, Ducks Unlimited, and all of our partners commend the USDA for
their vision in creating partnership-driven conservation initiatives, and we
especially appreciate each of the six state NRCS offices who were instrumental
in crafting a competitive proposal," said Betsy Ward, President and CEO of
USA Rice. "This is a giant step forward for conservation in ricelands with
many more steps to come."
"We applaud the many rice producers who integrate extra
conservation measures into their rice production to maintain water quality and
provide much-needed waterfowl habitat," said USDA NRCS Chief Jason Weller.
"The partnership
between DU, USA Rice, and USDA offers increased technical and financial
assistance to help producers accomplish these goals on their land, and the
tangible benefits to farmers, the environment, and all Americans will be felt
for a long time."The Arkansas NRCS has scheduled a meeting Friday, January
16, to announce the state's RCPP project participants, and to invite local rice
farmers to an informational session with RCPP Project Sponsors. All 50 states
and Puerto Rico received NRCS funding for conservation projects and have
scheduled similar events in the coming week.
Contact: Michael Klein (703)
236-1458
Louisiana Rice Receives RCPP
Funding
From left: Donald Berken, Kevin Norton, Jeff Durand and Randy
Jemison
BATON ROUGE, LA
- The Natural Resources Conservation Service (NRCS) announced four new
conservation projects today, two of which will directly benefit the state's
rice producers."We set out to deliver conservation programs that would
work on rice, waterfowl, water quantity, quality, and sustainability, and we've
done just that," said Kevin Norton, the NRCS State Conservationist for Louisiana.
"This is quite special, bringing big new resources to Louisiana that will
translate into real conservation."
The state received
approximately $1.5 million for the three state conservation programs, and
Norton says the lion's share is going to the Rice Stewardship Program in
Southwest Louisiana, proposed collaboratively
by Ducks Unlimited, the Louisiana Rice Growers Association, and
others. That region represents about 70%
of rice growing in the state, but rice producers in other areas of the state
will be eligible to participate in 
the national USA Rice-DU RCPP program (see lead story
above)."Rice is good for ducks and conservation is critical," said
Alicia Wiseman, Rice Stewardship Program Coordinator for Ducks Unlimited
Southern Region. "These programs will help feed people, support families,
and provide habitat for waterfowl."
the national USA Rice-DU RCPP program (see lead story
above)."Rice is good for ducks and conservation is critical," said
Alicia Wiseman, Rice Stewardship Program Coordinator for Ducks Unlimited
Southern Region. "These programs will help feed people, support families,
and provide habitat for waterfowl."
"This is a good day for
Louisiana rice producers who are excellent stewards of the land, and play an
important role in our state's economy and in helping to feed us all
sustainably," said Jeff Durand, a Louisiana producer and co-chair of USA
Rice's Conservation Stewardship Partnership who spoke at the event.The programs
are continuing to take shape and develop and all rice RCPP programs are
expected to be major areas of discussion at state meetings next month.
Contact: Michael Klein (703) 236-1458
California Rice Commission Secures
State-Specific RCPP Funding
SACRAMENTO, CA - In a separate conservation proposal, the
California Rice Commission (CRC) received an RCPP grant of $7 million. This
program will support many of the same practices offered by the highly
successful Waterbird Habitat Enhancement Program and efforts to develop a
viable nesting cover crop system for idled ricelands."Having these
additional resources should provide a big boost to our industry's longstanding
wildlife conservation efforts," said Paul Buttner, Manager of
Environmental Affairs for the CRC. "California ricelands provide habitat
to nearly 230 wildlife species - millions of birds that fly along the Pacific
Flyway, and the value of winter waterfowl habitat in California Rice is
estimated at $2 billion."
Contact: Deborah Willenborg (703) 236-1444
Western Rice Belt
Conference and Texas Rice Council Annual Meeting set for Jan. 21
PRESS RELEASE
Posted: Wednesday, January
14, 2015 4:00 am
PRESS RELEASE
The annual Western Rice Belt
Production Conference will be held on Wednesday, January 21, 2015 at the El
Campo Civic Center. The conference will begin with an Early Bird Session on
Precision starting at 7:30 am. Registration for the conference will begin at
8:00 a.m., with the remainder of the program to follow. After a catered lunch,
provided by area agribusiness sponsors, the program will conclude around 2:00
pm.
This joint effort of local rice
committees, The Texas A&M AgriLife Extension Service, U.S. Rice Producers
Association, and Texas A&M AgriLife Research will offer growers and others
the opportunity to hear presentations from the top Extension and Research
scientists from Texas and Louisiana as well as respected individuals from the
rice industry. Topics and speakers will include: Rice Policy Update, Dr. Joe
Outlaw; Rice Market Update, Dennis Delaughter; Localized Effect of Carryover
Rice, Jay Davis; Rice Disease Mgmt Update, Dr. Don Groth; Pesticide Laws and
Regs Update, Greg Baker; Groundwater Update, Neal Hudgins; and Insect
Management in Rice, Dr. Mo Way.
The Texas Rice Council will also conduct their
Annual Meeting in conjunction with the 2015 Western Rice Belt Conference. The
Texas Rice Council will conduct their producer elections during the lunch hour,
following the announcement of the Rice Poster Contest.For more information,
contact the Texas AgriLife Extension office in Matagorda County 979-245-4100 or
Wharton County 979-532-3310, or go tohttp://wharton.agrilife.org and click on Events to view a flyer for the Rice Conference. 2
CEU’s (1 L&R and 1 IPM) for TDA Pesticide Applicators will be awarded at
this event. CCA hours have been applied for and will be offered pending
approval.
Compete on quality
India should not oppose Pakistan's bid to call its rice basmati
Business Standard Editorial Comment | New Delhi
January 13, 2015 Last Updated at 21:38 IST
India's bid to protect its
basmati-rice growers through getting a geographical indications (GI) registration has come up against formidable hurdles. These
come not just from basmati growers in Pakistan, but also Madhya Pradesh, which
it did not list among traditional basmati-growing regions. TheAgricultural and Processed Food Products
Export Development Authority (Apeda) wants to thwart other countries from selling their scented
rice as basmati globally. Many attempts have been made in the past by foreign
rice-trading companies to confuse consumers by using similar-sounding names,
such as Jasmati and Kasmati.
Apeda has spent crores of rupees on court cases abroad to preserve the
basmati epithet for the typical Indian long-grained, non-sticky aromatic rice.
The GI registration at home would strengthen its case in international
litigation.Apeda's woes are rooted in the fact that it has sought the GI status
for basmati grown only in the contiguous region spanning Punjab, Haryana,
Himachal Pradesh, western Uttar Pradesh, Uttarakhand, Delhi, and parts of Jammu
and Kashmir. Madhya Pradesh's rice industry has claimed that its state is also
located in the Indo-Gangetic belt, part of which is suited for basmati
cultivation.
Pakistan's Punjab and adjoining
regions, especially the foothills of the Himalayas, are well known for
producing basmati rice - which, in fact, is the main competitor of the Indian
basmati in the international market. The Geographical Indications Registry,
which grants the GI status, had observed in an order issued in December 2013
that it was duty-bound to guard the interests of producers of all the areas
from where a product came. Apeda is, however, now contesting this plea in the
Chennai-based Intellectual Property Appellate Board (IPAB).
Technically, the GI label is meant
to set apart a product whose quality, reputation and other traits are
attributable to its geographic origin. This definition applies perfectly only
to the desi basmati, such as Basmati 370,
whose photosensitive nature allows it to be grown only in a region having a
particular day-length during the basmati-growing season. That limits basmati
cultivation to only the northwestern part of undivided India. However, the new
evolved basmati types, including the high-yielding dwarf and semi-dwarf
varieties, are, by and large, not photosensitive and can, thus, be grown in
areas outside the traditional basmati belt as well.
These varieties have now almost totally
replaced the desi basmati in the domestic and export
markets. It would, therefore, be unfair to deny them basmati status
irrespective of where they are grown.It was indeed Pakistan's folly that it did
not accept India's offer in the past to jointly seek global GI registration for
basmati. Now that Pakistan's basmati industry has, on its own, come forward for
similar cooperation, Apeda should not drag its feet. India can compete with Pakistan in the global basmati bazaar on the basis of quality. A denial
of Islamabad's claims may not, in any case, withstand the scrutiny of the World
Intellectual Property Organization.
Source with thanks:The Business Standard
Buffalo meat beats
basmati rice in export market
Ajay
Modi Last Updated: January
14, 2015 | 17:08 IST
Buffalo meat exports have overtaken those of basmati rice for
the first time. Both fall in the category of agriculture/processed exports,
with the latter dominating the scene for the last several years.
According to Commerce Ministry data, India exported buffalo meat worth
$3.22 billion in the April to November period of the ongoing financial year
[2014/15], up over 16 per cent from corresponding period of last year
(2013/14).In the same period, the figure for basmati rice remained unchanged at
$2.96 billion. Basmati rice exports in 2013/14 was $4.87 billion as compared to
buffalo meat's $4.35 billion.
Buffalo meat exports saw a phenomenal growth of 31 per cent in
quantity and 36 per cent in value last year (2014).Among the top export
destinations were Vietnam, Malaysia, Egypt, Thailand and Saudi Arabia.Russia
has recently opened up its market for Indian buffalo meat and four plants have
been certified by Russian authorities.
It is interesting to note that all this has happened within the
first year of Prime Minister Narendra Modi tenure.As BJP's Prime Ministerial
candidate prior to the elections last year, Modi, in his election campaigns,
had attacked the then Congress-led UPA government for promoting a 'Pink
Revolution' by encouraging meat exports.
Naturally, there was a fear among
meat processors that exports will take a hit if the BJP-led NDA coalition came
to power. This, however, has not happened. The government has made no hostile
move towards this sector and exports continue to boom.The country has
successfully built an enviable reputation of being a reliable and competitive
exporter of buffalo meat. So far, there has been no incidence of
livestock-related diseases such as foot and mouth disease from any of the
importing nations.
Source with thanks:Business Today
Rural India slowdown
threatens Modi's promise of "better days"
Rajendra
Jadhav, Nivedita Bhattacharjee and Suvashree Chaudhury Mumbai/New
Delhi/Padali Last Updated: January 15,
Sugarcane grower Nilesh Kadam has abandoned plans to buy a
tractor. He doesn't have enough money, like many farmers hit by erratic weather
and sliding prices for the cotton, soybean and rubber they produce. Tougher times in rural
communities spell bad news for Prime Minister Narendra Modi, who swept to power
last May with a promise of "better days" - new jobs and development
to lift hundreds of millions of Indians out of poverty.
"I was expecting a hike in cane prices this year, but mills
are paying 20 per cent less than last year. I don't have enough money to buy
even a motorcycle, let alone a tractor," says the 29-year-old
Maharashtrian farmer.It's not just the weather gods and capricious markets that
are to blame for the hardship besetting Kadam's village of Padali, 280
kilometres south of Mumbai. A shift in government spending ordered by Modi is
also hitting rural consumers and the industries that serve them."Rural
consumption was one of the pillars holding up growth," said Aditi Nayar,
senior economist at Icra, the Indian arm of ratings agency Moody's.
She expects weak demand in rural areas to have contributed to a
slowdown in economic growth in October-December from 5.3 per cent in the
previous quarter.Tractor maker Mahindra & Mahindra is idling its factories
for a few days a month after sales slid by nearly a third towards the end of
last year. Consumer goods firms and auto makers have also reported weak
sales.More than 800 million of India's 1.25 billion people live in the
countryside, accounting for 35 per cent of the economy. Modi's Bharatiya Janata
Party (BJP) faces the verdict of voters towards the end of this year in Bihar,
a large state in the Hindi belt where many of the rural poor live. West Bengal
and Tamil Nadu are among major states that go to the polls in 2016.
WELFARE CUTBACKS
Seeking to woo rural voters, the last government raised grain
purchase prices, bailed out indebted farmers and promised 100 days paid labour
a year to anyone who wanted it.The measures boosted the spending power of rural
consumers and cushioned business from a fall in urban demand after the 2008
financial crisis. Eventually, though, they stoked inflation and forced the
Reserve Bank of India (RBI) to hike interest rates.To cap inflation and state
borrowing, Modi has limited rises in farm support prices to below the inflation
rate and scaled back the jobs scheme.
He wants to invest savings in infrastructure and skills to boost
India's long-term growth.While inflation has eased with these policies, firms
that profited from booming rural demand are struggling due to the sudden
slowdown.Rajesh Jejurikar, chief executive of the farm equipment and
two-wheeler division at Mahindra & Mahindra, said delayed rains, poor crops
and reduced disposable incomes had hit tractor sales at the market
leader.Trends show a striking divergence between town and country sales of
two-wheelers: motorcycles - more popular in the countryside - fell 3.5 per cent
in December while scooters, ridden mainly by city dwellers, leapt 24 per cent
from a year earlier, industry figures show.
GLOBAL COMMODITIES FALL
Modi's shift from policies that support demand to ones boosting
investment and productivity have also coincided with a steep fall in global
prices of farm commodities, making imports cheaper and hitting Indian
exports."Exports of many commodities have become less lucrative and in
some cases unfeasible," said Faiyaz Hudani at Kotak Commodity Services.The
government's ability to ramp up spending on roads, railways and irrigation
projects that would benefit rural India is, meanwhile, hobbled by budget
constraints.
Aides to Finance Minister Arun Jaitley have advised him to
loosen fiscal deficit targets in next month's budget to create room to invest.
It's not clear, though, whether he will do so as that could delay a
growth-boosting interest rate cut by the central bank.Since his general
election triumph, the BJP has racked up a series of gains in state polls -
including in Maharashtra. But Kadam, who voted for a rival party, isn't
convinced and says the patience of rural voters is being tested.
"During the campaign, Modi was saying better days are
coming. Where are the better days?" the young Maharashtrian farmer asks.
"He has made things worse for us."
(Reuters)
Functional and healthy GM foods have large market
potential
14-Jan-2015
Last updated on 14-Jan-2015 at 14:55 GMT
Last updated on 14-Jan-2015 at 14:55 GMT
potential, says
new research.
The new data, published in Nature Biotechnology,
suggests that while the majority of developments in genetically modified crops
provide no additional health benefit to the consumer, those that do have good
market potential.Led by Hans De Steur of Ghent University, the team behind the
research said various GM crops with health benefits have been developed – with
notable examples including rice enriched with pro-vitamin A (also known as
'Golden Rice') and folate-enriched rice, developed at Ghent University.
“Fifteen years after the
development of 'Golden Rice', which was the first GMO with health benefits, the
developers of such transgenic biofortified crops have little reason to
celebrate,” said the team. “To date, none of these GMOs are approved for
cultivation, unlike GMOs with agronomic traits.” Despite these regulatory
hurdles, six major staple crops have been successfully biofortified with one,
or more, vitamins or minerals.Now the research team has ‘convincingly demonstrated’
that there is a strong market potential for such products – showing that
consumers are willing to pay more for GM food with health benefits, with
premiums ranging from 20% to 70%.
“This differs from GMOs with
farmer benefits, which are only accepted by consumers when they are offered at
a discount,” said the team.Experts from the Infant
Nutrition Council (Aus-NZ), Malaysian Dieticians Association and Euromonitor
will discuss how Apac countries differ in their infant formula needs, and how
to best market their products within Asia’s strict regulatory framework.The team added that although GM foods
with health benefits ‘are not a panacea’ for eliminating malnutrition, they do
offer a complementary and cost-effective alternative when other strategies are
less successful or feasible.
Source: Nature Biotechnology
"Status and market
potential of transgenic biofortified crops"
Authors: Hans De Steur, et al
Authors: Hans De Steur, et al
CCC Announces Prevailing World
Market Prices
WASHINGTON, DC -- The Department of Agriculture's Commodity
Credit Corporation today announced the following prevailing world market prices of
milled and rough rice, adjusted for U.S. milling yields and location, and the
resulting marketing loan-gain (MLG) and loan deficiency payment (LDP) rates
applicable to the 2014 crop, which became effective today at 7:00 a.m.,
Eastern Time (ET). Prices are unchanged from the previous announcement.
This week's prevailing world market prices and MLG/LDP rates are based on the following U.S. milling yields and the corresponding loan rates:
The next program announcement is scheduled for January 21. |
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CME
Group/Closing Rough Rice Futures
|
